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Liquidity is a business, economics or investment term that refers to an asset's ability to be easily converted through an act of buying or selling without causing a significant movement in the price and with minimum loss of value. Money, or cash on hand, is the most liquid asset. Liquidity also refers to a business' ability to meet its payment obligations, in terms of possessing sufficient liquid assets, and to such assets themselves. Total liquid assets refers to the net assets that a business owns that can be converted into cash when required.

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14y ago
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16y ago

assets you can easily sell They are assets that can quickly turned into cash. Stocks, bonds and gold coins are liquid. A house or a race horse would be illiquid.

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Q: What are liquid assets?
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Which of the following is a list of assets from most liquid to least liquid?

Houses are the most liquid assets


What are liquid and non liquid assets?

Liquid assets are those considered easy to liquidate. Such as savings, money market accounts and cash on hand. Non liquid assets are difficult to liquidate. Certificates of deposits are an example of a non liquid asset.


Is a loan a liquid or illiquid asset?

liquid assets


Is current asset the same as liquid asset?

Liquid assets are those assets which can immediately be converted in cash in emergancy basis so in liquid assets noramlly inventory is also not included as well as debtors.


What is the business term for assets which can be immediately turned into cash?

liquid assets


Where can one find more information on liquid assets?

The Associated General Contractor of America has very good detailed information on liquid assets. Banks and investment firms can also provide you with the information on liquid assets as well.


What is the difference between liquid assets and current assets?

liquid asset can be converted into cash within a very short span of time...


Are accounts receivable liquid assets?

Accounts receivables is a liquid asset


Is inventory a liquid asset?

no inventory is not including in liquid assets, because it can not be converted in to cash in limited time, some experts says that this time is of just 20 days. so it means that the assets which can be converted in to cash with in 20 days are liquid assets.


What are disadvantages of holding liquid assets?

fafa


What assets are easily convertable into cash among current assets and liquid assets?

Marketable securities are those assets which can easily convert to cash when the need arise to convert them.


Assets which can be quickly converted into cash are called?

liquid